Economy, Business And Markets

Auto Confab to Offer Investment Opportunities

Auto Confab to Offer Investment Opportunities
Auto Confab to Offer Investment Opportunities

The 2nd Iranian Auto Industry International Conference (IAIIC) is due to be held in December in Tehran to present the attractions of the country’s auto industry to global automakers.

The conference is aimed at reviving the car industry through foreign capital investment and engaging foreign partners in Iran as well as bringing about opportunities and a suitable situation for introducing technologies, products, and innovations in the car industry, IRNA reported.

The ministry of industry, mine and trade, as the main body in charge of industrial policymaking, has said the event will allow auto industry’s managers to become more acquainted with the latest technologies in the world.

The car industry is recognized as an engine for other industries, having a significant role in boosting the economy and generating revenues.

The officials at the ministry say the auto sector needs to come up with new strategic ideas to attract foreign investors, and enable the industry to grow fast.

The conference will be a great opportunity for foreign investors too, according to officials, who are interested in investing in Iran’s market.

Since Iran and the five permanent members of the United Nations Security Council plus Germany (known as the P5+1) reached an interim nuclear deal in November 2013, dozens of foreign commercial delegations, mostly from Europe, have visited Iran assessing entry to the lucrative market. French automakers such as Renault and Peugeot are eager to resume activity in Iran in the light of removal or easing of sanctions.

Based on the Iran’s 2025 Vision Plan, the country should produce 3 million cars per annum, out of which 1 million should be exported. The plan also certifies that the country should manufacture as many as 120,000 commercial vehicles by 2025. If the plan’s objectives are fulfilled, the auto industry will account for at least 4% of the gross domestic product (GDP).